If you’re self-employed and your business is affected by the coronavirus, you can apply for the SEISS 5th grant under the Self-Employment Income Support Scheme (SEISS).
As the 4th SEISS grant is now closed and you can’t claim it anymore. For this reason, you can now apply for SEISS 5th grant. This grant will be covering May 2021 to September 2021. You’d be able to claim it from late July 2021. You will get the guidance for claiming this grant on the government website by the end of June.
So let’s see what’s the eligibility criteria of the fifth grant, what amount you’ll receive and how you can apply.
Eligibility for SEISS 5th Grant
You’re eligible for this grant only if:
- You’re a self-employed person or a member of a partnership.
- You’ve operated your business from 2019 to 2020 and have submitted your tax return on or before 2 March 2021. And you’ve also traded from 2020 to 2021.
- You are currently trading but are affected by coronavirus or are temporarily closed due to it.
- You must declare that you are willing to continue trade.
- You must declare that there was a reduction in your business profits.
To be eligible, you must contain evidence that how your business has been affected by the coronavirus leading to less business activities than the normal circumstances.
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How this Grant is Different?
This grant is different as the amount of grant will be determined based on the reduced turnover of your business during the Covid-19 pandemic. You’d get more information at the end of June 2021 on how your turnover was affected by the pandemic.
How much You’ll Get or Receive?
If your business turnover reduction is 30% or more, you can receive 80% of 3 months’ average trading profit that is capped at £7,500. This means you can £2,500 a month.
Besides, if your business has seen a turnover reduction of less than 30% you can receive 30% of 3 months’ average trading profit that is capped at £2,850.
How to Apply for the 5th Grant?
The Application process of this grant is similar to the other grants of the Self-Employment Income Support Scheme. You can apply via the government gateway here. The online application for the fifth SEISS grant will be open by late July.
Along with your user ID and password of the government website, you also need:
- Self Assessment Unique Taxpayer Reference (UTR)
- National Insurance number
- Bank details
When to Claim?
You can claim online for SEISS 5th grant from late July 2021. Based on your eligibility, HMRC will get in touch with you in mid-July 2021 and will provide you with a date you can make a claim.
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Disclaimer: This blog is just for general information on SEISS.
